DEBT (Tables)

9 Months Ended

Sep. 30, 2021

Debt Disclosure [Abstract]

Debt Balances, Net of Unamortized Debt Issuance Costs

The following table provides detail on our debt balances, net of unamortized debt discount and issuance costs.

($ in millions)		At September 30, 2021		At December 31, 2020
Senior Secured Notes
	2025 Notes	$	500	$	500
	Unamortized debt discount and issuance costs	(5)		(6)
		495		494
Senior Unsecured Notes
	2026 Notes	—		750
	Unamortized debt discount and issuance costs	—		(6)
		—		744
	2028 Notes	350		350
	Unamortized debt discount and issuance costs	(4)		(4)
		346		346
	2029 Notes	500		—
	Unamortized debt discount and issuance costs	(7)		—
		493		—
Corporate Credit Facility
	Term Loan	784		884
	Unamortized debt discount and issuance costs	(8)		(11)
		776		873
Convertible Notes
	2022 Convertible Notes	230		230
	Unamortized debt discount and issuance costs	(9)		(15)
		221		215
	2026 Convertible Notes	575		—
	Unamortized debt discount and issuance costs	(120)		—
		455		—
Finance Leases		9		8
		$	2,795	$	2,680

Scheduled Future Principal Payments for Debt

The following table shows scheduled future principal payments for our securitized debt as of September 30, 2021.

	Vacation Ownership Notes Receivable Securitizations
($ in millions)
Payments Year
2021, remaining	$	44
2022	175
2023	179
2024	182
2025	183
Thereafter	848
	$	1,611

The following table shows scheduled future principal payments for our debt, excluding finance leases, as of September 30, 2021.

($ in millions)	2025 Notes		2028 Notes		2029 Notes		Term Loan		2022 Convertible Notes		2026 Convertible Notes		Total
Payments Year
2021, remaining	$	250	$	—	$	—	$	—	$	—	$	—	$	250
2022	—		—		—		—		230		—		230
2023	—		—		—		—		—		—		—
2024	—		—		—		—		—		—		—
2025	250		—		—		784		—		—		1,034
Thereafter	—		350		500		—		—		575		1,425
	$	500	$	350	$	500	$	784	$	230	$	575	$	2,939

Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)

The following table reflects the activity in accumulated other comprehensive loss related to our derivative instruments during the first three quarters of 2021 and 2020. There were no reclassifications to the Income Statement for any of the periods presented below.

($ in millions)	2021		2020
Derivative instrument adjustment balance, January 1	$	(39)	$	(21)
Other comprehensive gain (loss) before reclassifications	6		(24)
Derivative instrument adjustment balance, March 31	(33)		(45)
Other comprehensive gain (loss) before reclassifications	3		(1)
Derivative instrument adjustment balance, June 30	(30)		(46)
Other comprehensive gain before reclassifications	3		3
Derivative instrument adjustment balance, September 30	$	(27)	$	(43)

Convertible Debt

The following table shows the net carrying value of the 2022 Convertible Notes.

($ in millions)	At September 30, 2021		At December 31, 2020
Liability component
Principal amount	$	230	$	230
Unamortized debt discount	(8)		(13)
Unamortized debt issuance costs	(1)		(2)
Net carrying amount of the liability component	$	221	$	215
Carrying amount of equity component, net of issuance costs	$	33	$	33

The following table shows interest expense information related to the 2022 Convertible Notes.

	Three Months Ended				Nine Months Ended
($ in millions)	September 30, 2021		September 30, 2020		September 30, 2021		September 30, 2020
Contractual interest expense	$	1	$	1	$	3	$	3
Amortization of debt discount	1		1		5		5
Amortization of debt issuance costs	—		—		1		1
	$	2	$	2	$	9	$	9

The following table shows the net carrying value of the 2026 Convertible Notes.

($ in millions)	At September 30, 2021		At December 31, 2020
Liability component
Principal amount	$	575	$	—
Unamortized debt discount	(110)		—
Unamortized debt issuance costs	(10)		—
Net carrying amount of the liability component	$	455	$	—
Carrying amount of equity component, net of issuance costs	$	117	$	—

The following table shows interest expense information related to the 2026 Convertible Notes.

	Three Months Ended				Nine Months Ended
($ in millions)	September 30, 2021		September 30, 2020		September 30, 2021		September 30, 2020
Amortization of debt discount	$	6	$	—	$	16	$	—
Amortization of debt issuance costs	1		—		2		—
	$	7	$	—	$	18	$	—